Bridge mandi-retail price gap, states told

NEW DELHI: Concerned about the high difference between wholesale and retail prices of pulses in cities, the Centre has asked state governments to notify norms to ensure that the gap between wholesale and retail prices remains below 10% in metros and 7% in non-metro cities.

Consumer affairs ministry sources said the decision was taken at a meeting held recently with representatives of state governments. It was flagged during the meeting how the difference between wholesale and retail prices varied from 7-9% and 28-32%. While the gap was only 7% in Kolkata, it was as high was 28% in Delhi and 32% in Chennai. “We found how in Hyderabad the difference between the wholesale and retail prices is only 3%. The authorities there have managed to keep this under control by holding talks with the retailers, wholesalers and importers. All states must do so and this is possible,“ said a ministry source.

He added that once the states notify the norms, everyone has to follow them and any violation can attract stringent punishment, including jail term.

The ministry has said states have been asked to strengthen information mechanism to monitor prices. States have also been requested to set up a dedicated police department on the lines of Tamil Nadu to check offences under Essential Commodities Act.